Mediation & Arbitration
Mediation and Arbitration are methods used to work out disputes outside the courtroom. The two processes are commonly referred to as “Alternative Dispute Resolution” and they are two very different methods but both offer lower costs and faster resolution of the issue than litigation. And, as any litigator will advise, once you enter the court room, you lose control over the outcome.
Sandra Sigler is an experienced, trained Arbitrator and Mediator, and she has provided mediation for Jefferson County District Court and Arbitrated cases for the Better Business Bureau as well as many individual cases.
Mediation
Mediation is a process that seeks to resolve disputes through the efforts of the parties involved and facilitated by a trained Mediator. The Mediator employs communication, listening and people skills to smooth the progress of discussions between the parties in order to reach a solution that is agreeable to all of the parties. When disputes are litigated it is common for the Court to order mediation before proceeding to a final hearing or trial.
The Mediator is not empowered to render a decision or determine a settlement or solution. The parties involved in mediation are not compelled to reach an agreement and any party is allowed to discontinue the mediation any time.
Mediation lets parties keep sensitive matters confined to the bargaining table — not trumpeted abroad. Plus, the confidentiality of the process, and the confidentiality of caucus sessions (where each party may meet privately with the mediator), encourages the parties to explore the contours of their dispute, their strengths and weaknesses, their interests and their options for resolving the dispute — with a candor and depth — that could never emerge in a court context.
Mediation offers the parties the most control in the resolution of the dispute. The downside to mediation is that resolution of the dispute is not guaranteed and the dispute may still end up in a court room.
Arbitration
Arbitration is a different alternative to litigation that many people choose to save time and cost. Many consumer agreements, such as vehicle purchase contracts, require arbitration rather than litigation for those reasons.
Generally the parties in a dispute enter into an agreement to arbitrate and mutually agree upon an impartial Arbitrator. The parties then submit their ‘cases’ including documentation to the Arbitrator. The Arbitrator will conduct a meeting with the parties to hear any additional facts and to clarify any questions. After the meeting and reviewing the facts, the Arbitrator will issue a decision. Usually agreements to arbitrate are binding on the parties and the Arbitrator’s decision is final.
The Arbitration process differs significantly from Mediation in that the Arbitrator will reach a decision, and in the case of binding arbitration, that decision will be final and binding on the parties. The parties involved in the arbitration have ample opportunity to present their facts and their view of the dispute.
Arbitration is less formal than litigation and is not bound by the procedural rules of the court room. Unlike Mediation, there is no negotiating and the dispute always reaches a conclusion with the Arbitrator’s decision.